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Balance Transfers: A Smart Move for Holiday Savings

Published: November 26, 2024

Balance Transfers: A Smart Move for Holiday Savings

The holiday season often brings joy, togetherness, and, unfortunately, credit card bills. If you’ve racked up high-interest debt on one or more cards, now is the perfect time to consider a balance transfer. By transferring your existing balances to a low-interest credit card, you can simplify your payments, save on interest, and regain control of your finances.

What Is a Balance Transfer?

A balance transfer involves moving the debt from one or more high-interest credit cards to a card with a lower interest rate. This strategy can save you money by reducing the amount of interest you pay over time and helping you pay off your balance faster.

For example:

  • Let’s say you have a $3,000 balance on a credit card with a 24.62% APR. If you only make the minimum payment, you could spend years paying it off and rack up hundreds of dollars in interest.
  • By transferring that balance to a card like USSFCU’s Smart Rate Visa®, which offers a low 13.00% APR* and no balance transfer fees, you immediately reduce the interest you owe and accelerate your payoff timeline.

Why Consider a Balance Transfer?

Here are some key benefits of a balance transfer:

  1. Lower Your Interest Rate

    A lower APR means more of your payment goes toward the principal balance, not interest. This helps you pay off your debt faster and for less money overall.

  2. Simplify Your Payments

    Consolidating multiple credit card balances onto one card can make managing your debt easier. Instead of juggling multiple due dates and minimum payments, you have one monthly payment to focus on.

  3. Save on Fees

    Many credit cards charge fees to transfer a balance, but USSFCU’s Smart Rate Visa® offers $0 balance transfer fees, making it a cost-effective option.

  4. Save Money and Time

    Here’s how much you could save by transferring your balance to the Smart Rate Visa®:

Balance

APR

Payment

Time to Pay Off

Total Interest Paid

$3,000

24.62% (Average)

$150/month

24 months

$826.22

$3,000

13.00% (Smart Rate)

$150/month

22 months

$392.31

By transferring to the Smart Rate Visa®, you’d save over $430 in interest and pay off your balance two months earlier!

Why Choose USSFCU’s Smart Rate Visa® for Your Balance Transfer?

USSFCU’s Smart Rate Visa® is specifically designed to help members save money and manage their finances wisely. Key features include:

  • 13.00% APR – one of the lowest credit card rates in the nation.

  • $0 Balance Transfer Fee – move your balances at no additional cost.

  • No Annual Fee – enjoy all the benefits of the card without paying extra.

  • No Penalty Rates – your APR won’t increase for late payments or cash advances.

  • Convenient Features – contactless payments and mobile wallet compatibility make it easy to use anywhere.

Steps to Transfer Your Balance

Ready to make the move? Here’s how:

  1. Check Your Current Balances: Identify which credit cards you’d like to transfer and confirm the total amount.

  2. Apply for the Smart Rate Visa®: Visit ussfcu.org/SmartRate to apply for the card.

  3. Initiate the Transfer: Once approved, follow the simple instructions to transfer your balances to your new card.

  4. Pay Down Your Debt: Take advantage of the low APR to focus on paying off your balance faster.

Take Control of Your Finances Today

The holidays don’t have to leave you stuck with high-interest credit card debt. By transferring your balances to USSFCU’s Smart Rate Visa®, you can save money, simplify your payments, and get back on track financially.

Ready to start saving?

Visit ussfcu.org/SmartRate to learn more and apply today!

*APR = Annual Percentage Rate. All credit cards are subject to credit approval. Rates and/ or credit limits are based on creditworthiness, income, and debts. Not all applicants will be approved. Smart Rate APR as of 11.01.24 and subject to change. Your account is subject to a Variable Interest Rate. Increases or decreases in the Interest Rate will result in like increases or decreases in the Finance Charge and will affect the amount of your regularly scheduled payments that you will be required to make. View all rates at ussfcu.org/rates. Other fees may apply. Foreign transaction fee is 1 percent of the transaction amount, which may be billed separately on your account or included in the transaction amount. To view our fee schedule visit ussfcu.org/fees. View the complete Smart Rate Visa Credit Card Agreement and Disclosure for additional information. Visa® is a registered trademark of Visa.

The average APR offered with a new credit card in November according to LendingTree.com.

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